The AI & Legal Update #3 - 🏎️ Fully Self-Driving?

The AI & Legal Update #3 - 🏎️ Fully Self-Driving?

Cecilia Ziniti

Apr 17, 2024

Hi, friends. Elon's AI makes the newsletter again - take care out there! Wowza. Read time: 5 minutes, 37 seconds. 

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The AI, Law, and Tech Update 

📚 Big Tech & AI

  • 📝 Amazon appointed AI great Andrew Ng to its board. Ng’s strengths include teaching AI in plain English. Your editor approves.

  • 🇨🇳 Baidu’s AI chatbot, Ernie, reached 200M+ users and 85K enterprise clients. OpenAI’s ChatGPT is not available in China, which has a strong AI regulation that mandates generative AI “shall respect social morality and ethics” and “adhere to the core socialist values."

  • 🇦🇪 Microsoft entered into a new $1.5 billion partnership with G42, a government-backed tech company in the UAE. G42 is locked into using Azure, so Msft will get the money back. Msft President Brad Smith (a lawyer) will be on the company's board. US Secretary of Commerce Gina Raimundo (also a lawyer and former VC - inspiring) helped broker the deal.

  • 🏎️ From a scientist who recently left Nvidia, whose stock is up 76% YTD on usage of AI by everyone  ... 

Political, Regulatory, & Consumer

  1. 🇬🇧 Last call today to respond to the UK's ICO call for views on so-called “consent or pay” or “pay or okay” business models where users get privacy protected versions of internet products. No mention of AI but the rule developed will likely affect potential commercial solutions for copyright issues in AI training. 

  2. 🇪🇺 The EU issued a "corrigendum" explaining how the EU AI Act applies to models released free and open source. Tl;dr - it applies when the models are used or monetized.

  3. 🟧 Tesla rolled out “full self-driving” as a 30-day free trial to all US vehicles. They sent the email below, and then just…turned on the feature. My ex-USAF pilot family member didn't see the email. A day later, his car just started changing lanes as he drove. Scared the pants off of him! Other drivers don’t like it either - even GC AI cofounder Bardia Pourvakil, a techie and car guy, says he feared for his life. Your editor predicts a class action. Are the disclaimers below (orange emphasis added) enough to stave it? 


  • 🤼‍♂️ Bad legal take of the week award goes to this WaPo piece saying OpenAI is ‘fighting for its life’ in legal battles. OAI General Counsel and former Amazon counsel Che Chang says it's par for the course because “everyone thinks of us as Big Tech.” Yep. 

  • 🌶️ David Chang says he won't enforce his chili crunch trademark anymore after outcy of cultural appropriation.

  • 🇨🇿 A Czech court ruled under the EU AI Act that a prompt alone is not enough to grant copyright protection for the user. GC AI summary in English here.

  • ✍️ Overheard: “AI can be a tool we use, but it’s still us, the writers, who are doing that work.” - John August, a screenwriter and member of the WGA negotiating committee, in the Copyright Office's public meeting on AI.

  • 🗿 AI colorizes Roman statues. I spy Sean Penn in the training data. Do you?  

AI & Legal

  • 🧑‍⚖️ The Ninth Circuit ruled this week that good-old-fashioned non-AI provider Westlaw messed up by saying a case was overruled that...wasn’t. Much critique from your editor’s former employer and a reminder that lawyers are responsible for briefs. See GC AI’s (correct) summary of the not-overruled case here.

  • 🏆 The AI Workforce is Here by NFX - the single best VC report on the future of AI for AI & software-empowered knowledge workers, including lawyers. It lays out why experienced professional + AI yield the best results. We see from users every day this VC’s bold statement that “it’s not a 1.5x change in efficiency. It’s a 10x change.”

Corporate & AI Adoption

  • 📖 Great article on balancing speed of AI adoption, responsibility, and the human element (big!) from WGCN member and Asana CLO Eleanor Lacey.

  • 🔝 The number of Chief AI Officers has tripled in the last five years. It's a hard job  because it requires technical, legal, policy, and business skills. Sound familiar?

  • 🤑 BlackRock’s AUM is now $10.5 trillion. CEO Larry Fink credits AI, as they achieved “$2.5 trillion more assets with the same headcount."

  • 🥇JP Morgan’s Jamie Dimon similarly says AI is helping JPM, and though they’re still “exploring how gen AI can unlock across a range of domains ... these projects pay for themselves.” [Editor’s note: we agree—three GC AI users in the last week told us they avoided an outside counsel project with GC AI's help.

Even More Updates

📂 Three friends of GC AI are looking for AI counsel: commercial counsel at Scale AI, product counsel at Hubspot, and TikTok.

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Fun times! Thank you all for your support.

Cecilia and the GC AI Team